Airdrops in the crypto industry are being scrutinized as some view them as a short-lived trend or a way to artificially boost token values. While initially used to promote community ownership and network effects, airdrops are now criticized for being easily manipulated and leading to a decline in user engagement post-distribution. Recent launches of tokenless protocols like $ZRO and $ZK have raised questions about the effectiveness and sustainability of airdrops in attracting and retaining users.
Here’s how a simple tweak to airdrops could fundamentally alter crypto ecosystems. Milestones turn airdrops into future-facing KPI-based systems that align incentives with ecosystem growth. This is tokenomics 2.0 for crypto: where user behavior and value creation align.… https://t.co/1R05Bg1ZbC
Airdrops typically boost a project's user base before they happen, but what do those users do after? Given recent controversies on $ZK and $ZRO, it's time to look at projects' daily active entity trends to predict user base trends for projects that might do airdrops soon. https://t.co/R7BhhtqXaO
ZKsync Metrics Continued to Decline After Airdrop On June 17, the L2 network @zksync launched its native token $ZK, whose market capitalization exceeded $1 million at the start. However, key project metrics soon began to decline. The token showed positive dynamics during the… https://t.co/d4YS9xZYkG
Airdrops are dead? No, you're just using it wrong. Airdrops/ points campaigns are seen in crypto as a form of user acquisition. But post TGE, once incentives are distributed, users/ volume/ TVL dwindles. What if it's simply a retention problem? Here's a counter example:… https://t.co/uiWRjKbjcw
Tokenless Protocols 🔍 With the recent launch of $ZRO and $ZK, @BSturisky highlighted some major & niche tokenless protocols in his latest AF. A glimpse into the protocols and potential airdrops our analyst is looking into 👓👇 https://t.co/Y8UVTTuEyt
Airdrops were a response to the downfall of ICOs as a way to both show “community ownership” & incentivize a network effect to bootstrap networks. It’s become so gameable while projects spend way too much time on trying to think up new criteria is their downfall. It’s over.. https://t.co/SyeugPgfSo
Theory: Airdrops were at best a fleeting phenomenon in an immature industry, largely a cope given the lack of targetable, wallet-aware media that could reach real users. At worst, they were a token-pumping grift. https://t.co/V6Y2jSFy0C